Sunday 11 August 2013

Coleman Andrews Explains Clear Variations between Senior and Junior Credit

Since high-yield indexes hit maximum levels, RMWC's Coleman Andrews clarifies clear variations between senior and junior credit. The costs of numerous danger assets reach or are flirting with all-time or current high levels. The S&P 500 has set up many recent records, and most high-yield debt indices are trading at the substantial premium to par. However, the risk/return analytics for senior secured debt and junior high-yield debt look distinctive at this time. Why? Do you know the implications for investors?

According to Coleman Andrews, considering that the spring of 2009, the Fed makes junior credit investing a rather pleased task. The combination of Zero Interest Rate Policy and bond purchasing by the Fed has generally worked to drive up the prices of junior credit assets. Hundreds of billions of dollars have flowed into the high-yield sector alone as investors have sought nominal return to replace what they once could reasonably expect from traditional fixed-income investments. Demand has driven a robust appetite for new issues, in turn driving the high-yield indices into premium territory.

While talking about more information on the topic Coleman Andrews explained, "During the same period of time, an incredibly different picture has developed in the middle market, senior secured loaning field. Supply has contracted as many large banks happen to be merged out of existence, and as mega-banks and super-regional have battled to deliver. At the same time, CLOs plus hedge funds are no longer the source of adequate money that they were in the year 2006 as well as 2007 for the middle market field."

This is a report of two marketplaces, leaving investors to ponder which one is mispriced. In late March, junior high-yield bonds were offering an average of 6.35% while senior secured middle market loans were offering 6.83%. The bonds are generally fixed rate no inflation protection there while the middle market loans are variable rate tied to LIBOR. The bonds represent higher risk due to advantage 1.27% of yield for every unit of advantage while the middle market loans earn 1.75% of yield for every unit of advantage. Data from Moody’s and S&P for 1987-2009 show that junior bonds tend to fare more poorly in a default situation, recovering an average of 29% of principal versus an 86% recovery for middle market loans. Terms and conditions are also very different: the bonds are typically covenant-light whereas the middle market loan tends to have muscular covenants that favor the lender.

Coleman Andrews RMWC additionally added, "Over-all, one market is presenting paper this really is very borrower-friendly. Another marketplace is providing credit that is incredibly in the favor of the lenders. The smart investor really should consider which kind of paper is far more investor-friendly."

Coleman Andrews's mission is to give amazing solutions for each clientele, fellow workers and additionally investors. Through RMWC, it illustrates amazing support by regularly being warm, participating, pleasant and caring. They do anything so that the clientele financial needs are achieved. RMWC is a private investment firm that specializes in three strategies: private credit, absolute return, and secondary purchases of private equity. Each of the RMWC strategies can entail direct investment, co-investment with other professional investors, or fund investment with managers.

The article author writes valuable content articles, opinions about the RMWC, and he has an experience of cooperating with plenty of banking companies. The author takes in motivation from the experience of Coleman Andrews and Coleman Andrews RMWC.

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Monday 15 April 2013

RMWC Points of views with the Vision of Coleman Andrews



Coleman Andrews RMWC is actually a private investment company that are experts in three techniques: private credit, absolute return, and secondary purchases of private equity. Each of the RMWC tactics can certainly entail direct investment, co-investment with other expert investors, or fund investment with managers.

The company is really a perception of T Coleman Andrews III and is an authorized Investment Counsellor with the U.S. Securities and

Exchange Commission. RMWC is advised by, among others, the former portfolio manager of a $17 billion credit-focused multi-strategy fund, and by the current CEO of a $16 billion university endowment.

To acquire more information related to RMWC see - http://rockymountainwealthconcepts.wordpress.com

Article Resource - http://www.rmwc.com

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Monday 28 January 2013

Rocky Mountain Wealth Concepts - T. Coleman Andrews

During the fifteen years, that previous Massachusetts Governor Mitt Romney performed a full time job at Bain Capital, the Boston investment firm he co-founded back in 1984. He developed a large number of partners with Coleman Andrews and many others throughout the private equity world, “Mitt recognized and worked with a number of the best people in the market, many of which are still active presently,” says Geoffrey Rehnert, Co-founder of the Audax Group. A Boston PE Firm, who shared the very same period at Bain Capital as Romney. “Mitt is universally respected by all as sensible, respectable as well as extraordinarily capable,” States Rehnert, who has been assisting Romney’s Presidential Bid.

This is a close look at Rehnert and some of Romney’s several other Bain contemporaries who are still associated with PE today, and a few younger PE investors with close contacts to the candidate. Keep watch over these individuals; they may have the ear of future President.

T. Coleman Andrews

Romney picked up T. Coleman Andrews in 1979 for work at Bain & Co. and after that tapped him to help introduce Bain capital as a Co-Founder. Andrews quit the firm in 1986 to work as the CEO of World Airways INC., a provider of long-range passenger as well as cargo air transportation expert services.
Andrews currently is the CEO of San Francisco based Rocky Mountain Wealth Concepts, which manages capital for prime net worth folks as well as invests in private equity firms. He serves as an advisor to a number of PE firms, which includes Trilantic Capital Partners. From 2005 to 2012, Andrews was also CEO of a Financial Services Firm.

Andrews is really an active republican. From 1994 to 1997, he ran for the office of Lt. Governor of Virginia, eventually pulling out because of family responsibilities while leading the battle, in accordance with his bio on the Trilantic website.

Politics flows in his family. His Grand Father, who carried exactly the same name, ran for US President as the States Rights Party candidate in 1956. As accountant, he had served as commissioner of the internal revenue service under President Dwight Eisenhower however, had stepped down, stating his opposition to income tax.

To get more info about T Coleman Andrews III see - http://issuu.com/rockymountain01/docs/rocky_mountain_wealth_concepts_improvement_with_t_

Source For This Article - http://rockymountainwealthconcepts.wordpress.com/2013/01/26/coleman-andrews-friend-of-mitt-romney-from-bain-capital-team